As financing costs rise and liquidity tightens, the real estate investment world is facing tough questions. To get expert insight into these challenges and how leading investors are adapting, we sat down with Rob Beardsley, Founder and CEO of Lone Star Capital, ahead of our upcoming event.
It’s a nuanced landscape. Take multifamily investments, for example — cap rates haven’t kept pace with rising interest rates. This mismatch means investors are responding differently. Some are floating their debt, essentially betting rates will come back down. Others are comfortable locking in negative leverage because they’re confident rent growth will outpace costs, especially as the market shifts from oversupply to undersupply. So, while it might seem incremental on the surface, these are strategic recalibrations reflecting deep convictions about market fundamentals.
Tight liquidity is forcing GPs to think differently about capital sources. One of the smartest moves is building direct relationships with retail investors. Institutional capital can dry up quickly — institutional investors often move as a herd and are slowed by bureaucratic investment committees. Retail capital, by contrast, is more flexible and profitable. When GPs cultivate those direct connections, they gain a critical advantage in accessing reliable funding precisely when it’s needed most.
Investors want steady cash flow, but delivering that with high-quality, high-growth assets is challenging because of low cap rates. To provide cash flow, you often need low leverage and full-term interest-only debt, which can be difficult to align with growth assets. This tension is forcing GPs to innovate — they’re rethinking financing structures and deployment strategies to satisfy investor demands without compromising asset quality.
This event is a unique chance to hear from some of the most sophisticated players in the business, sharing the real challenges and the strategies that work. My hope is that attendees leave with at least one concrete idea they can implement within 30 days — something practical that adds value. Equally important is making connections — sometimes meeting just one person who becomes a meaningful partner can change everything. It’s that blend of insight and collaboration that makes this event so impactful.
Rob will be speaking on October 16th at the Global Leaders in Real Estate Summit, joining a roundtable discussion titled: “How Capital Deployers Are Re-Calibrating Their Expectations: What GPs Need to Know to Attract Capital in 2025.” Don’t miss this chance to hear directly from Rob and other leading voices as they share actionable strategies for navigating today’s capital-raising environment. Complimentary access is available for qualified attendees — apply now before spaces fill up.